Here’s What You Need To Know About Cardano’s New stablecoin

Cardano has entered into a partnership with COTI, a Level-1 protocol based on DAG, to launch an algorithmic stablecoin, which will be secured by over-collateralization of its reserves.

- Advertisement -

Djed, as it will be called, is set to go live on its mainnet in January 2023, pending a successful audit and a series of rigorous stress tests. According to the developers, Djed will be pegged to the US dollar, backed by Cardano ($ADA) and will use $SHEN as its reserve coin.

Where it will be integrated

The algorithmic stablecoin will be embedded in selected partners and decentralized exchanges (DEX), which will reward users for providing liquidity using Djed.

In an effort to grow at a sustainable healthy pace, the developers plan to take a gradual and slow approach to providing $ADA liquidity to the Djed smart contract.

Safe haven

Shahaf Bar-Geffen, the CEO of COTI, pointed out in the official announcement at the Cardano Summit:

“Recent market events have proven again that we need a safe haven from volatility and Djed will serve as that safe haven in the Cardano network. Not only do we need a stablecoin, but we need one that is decentralized and has evidence of its reserves.”

Cardano continues to “build”

Cardano continues to build and innovate. As a reminder, the Vasil upgrade was successfully released on September 22, with the goal of helping to improve the scalability of the ecosystem and overall transaction processing capability, as well as promoting the ability to develop decentralized applications (DApps).

Previous Articles:

- Advertisement -

Latest News

Drake Mentions Bitcoin’s Volatility in New Song “What Did I Miss?”

Drake mentioned Bitcoin (BTC) in his new song, bringing cryptocurrency into mainstream music culture. The...

Singapore Fines UBS, Citi, Others $21.5M in Money Laundering Scandal

Singapore fined nine financial firms $21.5 million in connection with a major money laundering...

Valhil Capital Predicts XRP Could Hit $4,813 by 2030 Amid Adoption

Valhil Capital projects XRP could reach a fair market value of $4,813 to $9,000...

Hamak Gold to Hold Bitcoin in Treasury, Aims for UK Leadership

Hamak Gold is moving part of its treasury funds into Bitcoin while continuing gold...

Symbolic 200 BRICS Bank Note Unveiled at 2025 Summit Sparks Buzz

A 200-denominated BRICS bank note appeared at the 2025 St. Petersburg forum, generating discussions...

Must Read

14 Ways On How to Make Money with Cryptocurrency

Many people want to make money with cryptocurrency because they have heard the success stories of people who became millionaires from zero.If you...